Which of the following statements is true?
A) Defending an overvalued currency is easier than defending an undervalued currency.
B) Defending an undervalued currency is easier in the short run than in the long run.
C) The nominal exchange rate is the ratio of the same basket of goods in two countries.
D) The real exchange rate is calculated by dividing the nominal exchange rate by the inflation rate.
B
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A firm estimates that when output is 10, its total costs are $900 . It also finds that when output is 11, its total costs are $920 . The marginal cost of the eleventh unit of output is
a. $1 b. $20 c. $90 d. $900 e. $920
An increase in the demand for loanable funds increases the equilibrium interest rate and increases the equilibrium level of saving
a. True b. False Indicate whether the statement is true or false